Japanese Shares Rally as Chip Stocks Rebound
The Nikkei 225 climbed 2.87% to close at 60,459 on Tuesday, extending its advance for a second consecutive session and tracking strong overnight gains on Wall Street as semiconductor stocks rebounded from last week’s sharp selloff. Sentiment toward the artificial intelligence sector improved after facing pressure last week amid concerns over tighter regulatory oversight and slower data center expansion following Democrats’ sweeping victory in the US midterm elections. Investors are now focusing on neocloud company CoreWeave’s upcoming earnings release for further insights into the strength of the AI trade. Japanese semiconductor-related stocks led the market higher, including Kioxia Holdings (9.2%), Advantest (4.6%), Tokyo Electron (6.1%), and SoftBank Group (13.9%). The rally came despite growing scrutiny surrounding chipmaking giant Nvidia following controversy involving its CEO, Jensen Huang.
The Nikkei 225 climbed 2.87% to close at 60,459 on Tuesday, extending its advance for a second consecutive session and tracking strong overnight gains on Wall Street as semiconductor stocks rebounded from last week’s sharp selloff. Sentiment toward the artificial intelligence sector improved after facing pressure last week amid concerns over tighter regulatory oversight and slower data center expansion following Democrats’ sweeping victory in the US midterm elections. Investors are now focusing on neocloud company CoreWeave’s upcoming earnings release for further insights into the strength of the AI trade.
Japanese semiconductor-related stocks led the market higher, including Kioxia Holdings (9.2%), Advantest (4.6%), Tokyo Electron (6.1%), and SoftBank Group (13.9%). The rally came despite growing scrutiny surrounding chipmaking giant Nvidia following controversy involving its CEO, Jensen Huang.